NFL to use natural gas for cost-cutting

Written by:
Subscribe to Oneindia News

Guna, MP, Sep 26 (UNI) The public sector National Fertilisers Ltd will use natural gas instead of fuel oil at its plants at Nangal, Bhatinda and Panipat while the capacity of its Vijaypur plant in Madhya Pradesh was also being expanded.

Regassified liquified natural gas will be used as feedstock instead of fuel oil and low sulphur heavy stock(LSHS) as part of cost-cutting measures, the company's annual general meeting was informed.

Production cost will come down drastically after the changeover under a time-bound programme, the company's Chairman-cum- Managing Director G S Mangat said, adding it would also help in reducing subsidy being provided by the government.

Under the new investment policy for urea, he said, the NFL's Vijaypur plant's units one and two were being expanded by 16 and 23 percent respectively.

The public sector company, having government share of 97.64 per cent, announced total dividend of Rs 32.60 crores during 2007-08.

The company earned a net profit of Rs 108.65 crore during the year when its capacity utilisation touched 101.1 percent with total production of 32.68 lakh tonnes.

During the current fiscal, the company had a good beginning by earning Rs 35.90 crore profit after tax in the first quarter, Mr Mangat added.


Please Wait while comments are loading...